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Vietnam Real Estate: The Trending Foreign Investment

Foreigners are constantly drawn to the Vietnam real estate market, and this is due to its huge growth in the economy. Also, Vietnam legal regulations were amended to create conditions that are favorable for foreigners who buy properties in Vietnam. The local demands of properties are on the increase, which further brought the high rise in real estate development.

Why Invest In Vietnam Real Estate?

Rapid growth in the economy

There is a wide range of opportunities for those investing in properties. The GDP of the country has grown at a rate of 8.4% from 2010 to 2016. In 2018, the GDP/capital approximately rose to $2,546. Furthermore, it was predicted by the Vietnamese government that the number of households with upper income would go from 250,000 in 2016 to 530,000 in 2020, while the households with low income will go from 3.16 million to 4.83 million in 2020 which is a huge 52.8% increase.

Also, the inflation index of the country is stable at 4%-5%, which relatively creates a favorable economic situation for foreign investors.

Ho Chi Minh City villa for sale

The rise in foreign investment

The growth in foreign capital is a major catalyst in the growth of Vietnam economically. The foreign direct investment that was disbursed got to $9.05 billion in 2017, with a yearly increase of 52%.

All-time increase in the price of Vietnam houses

The influx of wealthy families and foreigners into Vietnam demanding for improved and new housing has brought about the growth of real estate in Vietnam.

Increase in population

By 2040, it is expected that the population in Vietnam will grow from 95 million to 120 million. This will lead to an increase in demand for property and housing.

Hanoi real estate

Rules And Regulations Guiding Real Estate In Vietnam

Though the amended legal regulations now permit foreigners to own a residential property in Vietnam, there are still complications and limitations

There is a restriction by the government on the number of foreigners that can own a house in each neighborhood. Both locals and foreigners are permitted to own the building or home but not the land. The land can be leased for 50 years, and this can be extended.

Foreign investors are only allowed to own 30% units of a single condominium. Aside from that, only 250 houses are allowed to be owned by foreigners in any administrative wards.

Regions In Vietnam To Invest

Ho Chi Minh City

This is the largest city in Vietnam, and it was known as Saigon in the past. In Vietnam, HCMC is known as the largest financial and economic center. In recent years, the city has drawn many immigrants from different provinces, thus, causing rapid growth in population.

Ho Chi Minh real estate


Apart from being the capital of Vietnam, Hanoi is seen as the cultural and industrial center where businesses can thrive. It’s divided into one district town, twelve urban areas, and seventeen rural areas. It also has the index of the biggest human development.

Hanoi apartments

Nha Trang

It is located in the coastal area (Khan Hoa province) of Vietnam. The economy of this city is largely dependent on tourism, which has increased the demands of home or property purchase. In turn, this has increased the price of a property in the city.

Nha Trang real estate

Da Nang

In Vietnam, this city is rated the fourth largest city. At Da Nang airport, a new international terminus was constructed in 2017, and it receives about 6 million passengers each year.

Da nang apartment


Buying a property does not automatically qualify a foreigner for a long stay visa. As long as an individual has a valid visa, he can stay in the country as long as he wants, but regular visa runs have to be made. The taxes and fees associated with the purchase of property here are somewhat low.